Drivezy, a Bengaluru-based vehicle-sharing marketplace, has raised a total of $20 million in Series B equity financing. The round was led by existing investor Das Capital. The other investors who participated include Yamaha Motor, Axan Partners and IT-Farm.
With the funding round, the company has mopped up equity investments of $31 million in total. The fresh capital will be used to expand its marketplace and roll out advanced services.
Cementing foothold
Co-founded in 2015 by Ashwarya Singh, Abhishek Mahajan, Hemant Sah, Vasant Verma and Amit Sahu, Drivezy operates a peer-to-peer vehicle sharing network offering car, motorcycle and scooter-sharing services across nine cities.
Having partnered with over 2,000 owners, Drivezy has more than 7,000 operational cars, motorcycles and scooters on its platform, which are rented by over 37,000 customers every month.
“With less than 8 per cent of Indians owning a car, the rapidly growing car and bike-sharing industry can provide convenient and sustainable mobility to millions of urban Indian residents. The fresh investment will allow us to cement our foothold as the market leader in the growing Indian vehicle-sharing market,” said Ashwarya Singh, CEO of Drivezy.
The company has also secured $100 million in an asset financing deal under which it plans to induct over 50,000 vehicles. The funds will be deployed over a period of three years, through a Special Purpose Vehicle (SPV) called Harbourfront Capital, a financing mechanism established by Anypay Inc for investments in shared assets in the global sharing economy.
The company’s vehicle-sharing marketplace allows vehicle owners to list their idle cars, motorcycles and scooters and turn them into profit-generating assets by renting the vehicles to customers at a fraction of the cost required to purchase a vehicle. Customers can rent a car or a two-wheeler from Drivezy on an hourly, daily, weekly or monthly basis.